Investor Connect Podcast

Value-Based Pricing

Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing.

Value-based pricing focuses on what value the customer derives from the product rather than the cost for the producer to build and deliver it.

This pricing model focuses on how the customer perceives the product and what problem it solves for them.

To apply value-based pricing to your product assess what price the customer is willing to pay for the product.

Look for customer segments that will pay more for the product and focus there.

To increase the value, consider the following:

Make the product easy to use.

Generate branding around the product.

Create a herd effect in the market and highlight critical users of the product.

Generate scarcity around the product.

Increase customer service and support.

In addition to adding value, these steps also help differentiate your product from the competition.


Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.

Let’s go startup something today.


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Music courtesy of Bensound.

Direct download: Value_Based_Pricing.mp3
Category:general -- posted at: 5:00am CDT